The Mumbai-based leading research oriented pharmaceutical company Glenmark Pharmaceuticals Ltd (Glenmark) is all set to start its new company- Glenmark Generics Ltd (GGL) from April 1, 2008. The company is transferring its domestic active pharmaceutical ingredients (APIs) business and generics formulations business to GGL. The new company is planning to enter in the capital market during first quarter of 2008-09.

Glenmark is transferring its entire assets related to APIs and generic business, including brands, trademarks and employees, located at Goa, Ankleshwar, Kurkumbh and Mohol to GGL as a going concern.

The new company will handle the development, manufacture and marketing of generic formulation and API businesses. Glenmark will continue to directly manage the novel R&D and branded formulation businesses of the Glenmark group including India, Brazil, Rest of Latin America (excluding Argentina), Russia/CIS, Africa and Asia.

"We are hiving off our complete APIs and generics formulation business to the new company Glenmark Generics Ltd, a subsidiary of the company for a consideration of not less than Rs 698 crore. The new company will start functioning activity from early April 2008. We will be continuing our research & development and branded formulation from our existing company. For our new company we will be raising funds through IPO during first quarter of next financial year," a company source revealed.

Glenmark has its global presence in more than 85 regulated and semi-regulated markets including the US and Europe and a wider portfolio comprising of over 10 therapeutic categories in the generics and branded generics segments.

In a span of seven years, Glenmark has developed a total of 11 molecules, three of which are in clinical development and the other eight are at various stages of preclinical development and discovery. The company has 11 NCE and NBE molecules in the pipeline, with three molecules in phase II clinical development. It is a pioneer in the formulations segment in the industry. It has unique presence in the dermatology and respiratory drugs. The products like Candid B and Ascoril are positioned among the top 300 pharmaceutical products. During third quarter ended December 2006-07 it has launched eight products in the domestic market.